For general information regarding the repayment of your debt, you may contact us in writing at the above address or you may call customer service at(609) 292-0030.

Customer service representatives are available from 8:30 a.m. - 4:15 p.m.
Monday through Friday.

Any correspondence submitted should include your Social Security number or claimant ID number (located on the coupon portion of your monthly mailer).

What is the Treasury Offset Program and why is my Federal Income Tax return being withheld?

The Treasury Offset Program (TOP) is used to collect delinquent debts owed to Federal agencies and states in accordance with Federal law. Federal payments, such as Federal Tax Refunds, are used in whole or in part to offset delinquent debts that qualify for collection by offset. If a claimant’s IRS refund was offset, the funds were used to pay the delinquent, outstanding debt that was incurred from the improper collection of Unemployment benefits. Collection of debt in this manner is only done after all other attempts have failed.

If you have an outstanding overpayment balance, it may be subject to submission to theTreasury Offset Program (TOP) of the Internal Revenue Service (IRS). Only delinquent debts are submitted to the IRS for collection of available tax refunds. Monthly statements are sent by the New Jersey Department of Labor and Workforce Development (NJLWD) advising of the debt owed and warning that NJLWD will submit your debt to the IRS for offset of your future Federal Income Tax refund(s). Additional interest, penalties, and other charges may be assessed on the balance you currently owe.

The TOP offset process is defined under 26 USC 6402(f) and Title 31CFR 285.8. The IRS is not required to send you further notice of the TOP offset program when reducing your refund to pay off your debt balance.

If you have further questions about why there was an offset against your federal income tax refund, you may send correspondence to:

Please include your claimant ID # and a daytime telephone number where you may be reached with any correspondence you submit. Your inquiry with the Refund Processing Unit of the Bureau of Benefit Payment regarding this overpayment is limited to establishing a formal agreement to repay the debt. You will not be able to appeal or request additional investigation into the debt unless you can provide documented proof of 1) identity theft, OR, 2) that you have already repaid this debt in full.

Yes. If you receive any unemployment benefits to which you are not entitled, you will be required to return those benefits. If benefits were paid to you in error, you will receive a notice stating the amount you were overpaid and why you were not entitled to the benefits. You have the right to appeal the determination by following the instructions on the bottom of the form.

If I owe an overpayment, can I make an electronic payment?

Yes. You can make an electronic payment at http://www.njuifile.net/repayment. The E-payment service allows for both credit card and e-check payments. Individual and recurring payments are also available.

How Do I Avoid Collection Activity Against Me?

You can avoid collection activities (except for the recoupment of future benefits) by either repaying the debt in full or establishing and maintaining a monthly installment agreement. The BPC-404 monthly mailer lists the formal dollar amount required to pay on a monthly basis and also allows for the submission of a formal monthly agreement with your restitution payment. You can also enter your formal monthly agreement amount at our E-payment site at http://www.njuifile.net/repayment.

Why do I have an overpayment on my claim when I filed only last week?

In the past you may have received any unemployment benefits to which you were not entitled; the Division will recover the overpaid unemployment benefits by using your current benefits.

Can I enter into a formal agreement if I am currently collecting unemployment benefits?

No. In accordance with the New Jersey Unemployment Compensation law, any available UI benefits you are currently entitled to must be used to recoup (offset) any outstanding UI/DI debt principal that you may owe. A monthly agreement will not prevent this from occurring. Once the principal benefits have been recouped, any remaining balances of fines and interest will be your responsibility to repay. UI benefits cannot be used to recoup any fines and interest you may owe.

Why are my New Jersey state taxes and rebates being withheld?

If you (or your spouse) have an outstanding liability with this agency, your New Jersey state income tax refund and/or rebates will be withheld and applied to this debt. These collection actions can be avoided by entering into a formal installment agreement with us and maintaining the required monthly installment payments.

I returned my unemployment check, why do I still owe a balance?

When your unemployment check was issued, if you had any deductions, (i.e. child support or federal income tax withheld), if you return that check, you are only returning the net amount. An overpayment was created because we already sent the deductions out in your name. You are responsible to repay any deductions withheld to make up the gross weekly benefit rate you were actually paid.

Why was my last restitution check returned to me with a letter stating “satisfied”?

“Refund has been satisfied” on your letter means your debt with the Division has been paid in full. Your personal check has been voided, sent back to you, and you can reenter the amount back into your personal checking account. If you paid with a money order, the Division will not void it. You can take it, with your money order receipt to where you purchased it and they should be able to refund your money.

I paid my debt in full. Why does it still appear on my credit report?

When you receive the Warrant for Satisfaction that was filed for you in Superior Court, it is your responsibility to get your credit report updated. You should send copies of the Warrant for Satisfaction to all of the credit reporting agencies and request they update your credit report. We recommend you retain your Warrant for Satisfaction until you are confident that all your credit history reports were updated.

My debt was discharged in bankruptcy. Why am I not receiving any UI benefits?

The computer system requires updating when a debt is covered under bankruptcy. In order to receive your benefits you must contact the Bankruptcy Unit to advise them of your current unemployment status. Contact them in writing at the address at the top of this page, ATTN: BANKRUPTCY DEPT. Please include your phone number in the correspondence. You should contact the Bankruptcy Unit as soon as you file your UI claim.

My debt was discharged in bankruptcy. Why is a judgment still showing on my credit report?

A discharged bankruptcy does not satisfy or lift the judgment that is on your credit report. One year after the bankruptcy is discharged you must file with Superior Court to have the judgment canceled. For further information, orto file the required documents, you should contact your bankruptcy attorney. The Department of Labor and Workforce Development does not handle this process.

The New Jersey Department of Labor and Workforce Development is an equal employment opportunity employer and provides equal opportunity programs.
Auxiliary aids and services are available upon request to assist individuals with disabilities.